[Federal Register Volume 73, Number 131 (Tuesday, July 8, 2008)]
[Notices]
[Pages 39032-39035]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: E8-15444]


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DEPARTMENT OF THE INTERIOR

Minerals Management Service


Outer Continental Shelf (OCS), Alaska OCS Region, Cook Inlet 
Planning Area, Proposed Oil and Gas Lease Sale 211 for OCS Oil and Gas 
Leasing Program for 2007-2012

AGENCY: Minerals Management Service (MMS), Interior.

ACTION: Request for Interest.

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SUMMARY: The OCS Oil and Gas Leasing Program for 2007-2012 identifies 
two potential ``special-interest'' sales for the Cook Inlet Planning 
Area in Alaska. The Cook Inlet area is a proven oil and gas province, 
but past industry interest in the federal offshore area has been 
limited.
    The amount of oil and gas produced in Cook Inlet continues to 
decline and with changing economic conditions there is renewed interest 
in finding additional hydrocarbon resources for the South Central 
Alaska.
    This Request for Information (RFI) seeks to determine the level of 
industry interest, whether it is focused on a few blocks or prospects 
or if there is industry interest in a larger portion of the planning 
area.
    We are also seeking comments from tribal, local, State, and Federal 
agencies, and the general public to evaluate whether MMS should proceed 
with further evaluations pursuant to the Outer Continental Shelf Lands 
Act (OCSLA), the National Environmental Policy Act (NEPA), the 
Endangered Species Act (ESA), the Coastal Zone Management Act (CZMA) 
and all other applicable laws and regulations. We will consider the 
level of industry interest and other issues and concerns reflected in 
comments in our determination on how to proceed. The decision to 
proceed with further evaluation of this special interest sale or to 
issue another RFI in 2009 will be made after consideration of the 
comments received and the indication of industry interest in response 
to this RFI. This RFI does not indicate a preliminary decision to lease 
in the Program Area.

DATES: Responses to the RFI on proposed Cook Inlet Sale 211 must be 
received no later than October 6, 2008. Submittals should be labeled 
``Comments on Proposed Special-Interest Sale 211.''

FOR FURTHER INFORMATION CONTACT: Please contact Dr. Cleve Cowles, 
Regional Supervisor, Office of Leasing and Environment, Minerals 
Management Service, Alaska OCS Region, 3801 Centerpoint Drive, Suite 
500, Anchorage, Alaska 99503-5820, phone (907) 334-5233, regarding 
questions on the RFI for this special interest sale.

Request for Information

    1. Authority: This RFI is published pursuant to the OCSLA as 
amended (43 U.S.C. 1331-1356, (1994)), and the regulations issued 
thereunder (30 CFR 256); and in accordance with the 5-Year OCS Oil and 
Gas Leasing Program for 2007-2012.
    2. Purpose of RFI: This RFI seeks to determine the level of 
industry interest; whether it is focused on a few blocks or prospects; 
or if there is industry interest in a larger portion of the planning 
area. We are also seeking comments from tribal, local, State, and 
Federal agencies

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and the general public to evaluate whether MMS should proceed with 
further evaluations pursuant to the OCSLA, NEPA, ESA, Coastal Zone 
Management Act (CZMA) and all other applicable laws and regulations.
    This information-gathering step is important for ensuring that all 
pertinent information is provided in response to this RFI so it can be 
assessed in determining whether to proceed with further evaluation of 
the ``special-interest'' leasing process pursuant to the OCSLA and 
regulations at 30 CFR part 256 or whether MMS should reissue another 
RFI in 2009. A ``special-interest'' leasing option allows MMS to 
consider for further evaluation a very focused (or larger) area of the 
Cook Inlet Program Area. If companies are interested, they should 
identify the specific blocks of interest to MMS in writing to the 
Regional Supervisor, Office of Leasing and Environment, ATTN: Cook 
Inlet RFI, Alaska OCS Region, Minerals Management Service, 3801 
Centerpoint Drive, Ste. 500, Anchorage, Alaska 99503-5823. If companies 
believe a larger area should be considered, they should explicitly 
explain their interest, including a summary of the geologic and 
economic information about the larger area. This letter of interest may 
include maps, and should include a company contact name, address, and 
phone number(s) if MMS needs additional information or clarification.
    As part of this information gathering request, we are also seeking 
comments and supporting information from tribal, local, State, and 
Federal agencies and the general public to determine whether MMS should 
consider any further evaluation of a focused area or larger portion of 
the Cook Inlet Program Area pursuant to the OCSLA and other applicable 
laws and regulations. After the 90-day RFI comment period closes, MMS 
will decide whether to continue the process after considering the 
comments received. If industry interest reflected in comments to the 
RFI does not support further evaluation at this time a RFI will be 
issued again in 2009 and yearly thereafter through the 5-year schedule 
until a sale is held or the 5-year schedule expires. If sufficient 
industry interest is received during the RFI process, including 
nominations of specific blocks in response to the RFI and after 
reviewing and considering the other information provided, MMS may 
recommend to the Assistant Secretary, Land and Minerals Management 
(ASLM) whether the sale process should be continued as well as the size 
of the area to be considered for further evaluation (Area 
Identification). Following Area Identification, the Alaska OCS Region 
will prepare the appropriate NEPA analysis of potential environmental 
effects of oil and gas exploration, development, and production in the 
proposed sale area and its vicinity.
    3. Background and Description of the Area: Four Federal sales have 
been held in the Cook Inlet Planning Area. In October 1977, Sale CI 
resulted in 88 leases being issued. In September 1981, Sale 60 resulted 
in 13 leases being issued. A reoffering sale, Sale RS-2, was held in 
August 1982, but no bids were received and no leases resulted from this 
sale. Sale 149, held in June 1997 resulted in 2 leases issued. In June 
2002, the Department of the Interior issued the OCS Oil and Gas Leasing 
Program for 2002-2007. Two Cook Inlet Sales, 191 and 199, were 
included. The EIS for Sales 191 and 199 was issued in December 2002, 
and all other pre-sale steps completed by early 2004. The sale was 
scheduled for May 2004. However, no bids were submitted for Sale 191. 
The MMS issued other solicitations to determine industry interest in 
Cook Inlet, but company interest remained low. Lease Sale 199 was 
canceled.
    Over the years, there have been 13 exploratory wells drilled on 
Federal leases in Cook Inlet and all have been permanently plugged and 
abandoned. Two leases from Sale 149 (part of the Cosmopolitan Unit) are 
under suspension of operations. Exploration activities for the unit are 
occurring from onshore. The Alaska OCS Region document ``Undiscovered 
Oil and Gas Resources, Alaska Federal Offshore, December 2006 Update'' 
estimates the mean undiscovered technically recoverable resources for 
the planning area at 1.01 billion barrels of oil and condensate and 1.2 
trillion cubic feet of gas. http://www.mms.gov/alaska/re/reports/2006Asmt/index.HTM.
    The Cook Inlet Program Area is located offshore the State of Alaska 
just south of Kalgin Island and the Barren Islands and continues south 
through Shelikof Strait to just above the southern tip of Kodiak Island 
(see attached map). The Cook Inlet Program Area consists of 
approximately 1,093 whole and partial blocks covering about 2.1 million 
hectares (about 5.3 million acres). It extends offshore from 3 to 
approximately 60 nautical miles in water depths from about 30 feet to 
approximately 650 feet. A page-size map of the Program Area accompanies 
this RFI. A large scale RFI map showing the boundaries of the Program 
Area on a block-by-block basis is available on the MMS Web site at 
http://www.mms.gov/alaska/cproject/cookinlet211/index.htm. Official 
Protraction Diagrams numbers located in the Cook Inlet Planning Area 
are identified on both the page-sized and large-scale Call maps 
available for no charge at the Web site: http://www.mms.gov/ld/alaska.htm.
    4. Instructions on RFI: Specific nominations demonstrating industry 
interest are being sought regarding the oil and gas industry area(s) of 
interest for potential exploration and development and production. 
Comments on the RFI are requested concerning any environmental, social, 
or economic information or issues commenters believe will assist the 
MMS in making its decision.
    Responses to this RFI must be received by October 6, 2008. 
Submittals should indicate ``Responses to RFI for Proposed Cook Inlet 
Special-Interest Lease Sale 211.'' The RFI Map nominations and specific 
indications of interest, and/or comments must be submitted to the 
Regional Supervisor, Leasing and Environment as noted below.
    The RFI may be submitted by any one of the following methods:
     Mail or hand-deliver comments to the Regional Supervisor, 
Office of Leasing and Environment; ATTN: Cook Inlet RFI; Alaska OCS 
Region, Minerals Management Service; 3801 Centerpoint Drive, Suite 500; 
Anchorage, Alaska 99503-5823.
     Submit comments by Internet through MMS Public Connect at 
http://ocsconnect.mms.gov/pcs-public/.
     Fax comments to the Regional Supervisor, Office of Leasing 
and Environment; Alaska OCS Region, Minerals Management Service at 
(907) 334-5242.
    Please submit Internet comments as an ASCII file, avoiding the use 
of special characters and any form of encryption. Please also include 
your name and return address in your Internet message. If you do not 
receive a confirmation from the system that we have received your 
Internet message, please contact us directly at 1-800-764-2627.
    Company comments about specific levels of interest and/or specific 
areas of interest will be considered proprietary and confidential 
information, although the identities of those submitting nominations 
become a matter of public record. To avoid inadvertent release of 
proprietary information, please mark all documents ``Confidential--
Contains Proprietary Information'' on every page containing such 
information. Respondents are requested to comment on the area of the 
Federal boundaries of the Cook Inlet Planning Area.
    Respondents should rank areas in which they have nominations 
according

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to priority of interest; for example, priority 1 (high) or 2 (medium) 
on a large-sale RFI map available at http://www.mms.gov/cproject/cookinlet211/index.htm. Respondents are encouraged to be specific in 
indicating blocks by priority and be prepared to discuss their range of 
interest and activity regarding the nominated area(s). Please provide 
the telephone number and name of a person to contact in the 
organization's response. The Alaska OCS Regional Office may contact 
this person to set up a mutually agreeable meeting to more fully review 
the company's level of interest.
    Comments and information are sought from all interested parties 
about particular geological (including natural hazard areas), 
environmental, biological, archaeological, and socioeconomic conditions 
or potential conflicts, or other information that might bear upon the 
potential leasing, exploration, and development of the program area and 
vicinity. Comments and information are also sought on possible 
conflicts between future OCS oil and gas activities that may result 
from the proposed sale and the standards of the Alaska Coastal 
Management Program (CMP) and the enforceable policies of an approved 
local district coastal management plan. These comments should identify 
specific CMP policies of concern, the nature of the conflict foreseen, 
and steps that MMS could take to avoid or mitigate the potential 
conflict. Comments may be in terms of broad areas or restricted to 
particular blocks or areas of concern. Those submitting comments and 
information are requested to list block numbers or outline the subject 
area on the RFI Map. Our practice is to make comments, including names 
and addresses of respondents, available for public review during 
regular business hours. Individual respondents may request that we 
withhold their address from the rulemaking record, which we will honor 
to the extent allowable by law. There also may be circumstances in 
which we would withhold a respondent's identity, to the extent 
allowable by law. If you wish us to withhold your name or address, you 
must state this prominently at the beginning of your comment. However, 
we will not consider anonymous comments. We will make all submissions 
from organizations or businesses, and from individuals identifying 
themselves as representatives or officials of organizations or 
businesses, available for public inspection in their entirety. Any 
specific information submitted by industry about their interest will 
remain proprietary when marked as such.
    5. Use of RFI Information: Information submitted in response to 
this RFI will be used for several purposes. Responses will be used to:

--Determine whether to proceed with the leasing process for a special-
interest oil and gas lease sale in the Cook Inlet Program Area;
--Identify specific areas of interest for oil and/or gas exploration 
and development;
--Identify potential environmental effects and potential use conflicts;
--Develop the appropriate level of environmental analysis needed if the 
level of industry interest is such that MMS recommends proceeding with 
the special-interest sale;
--Develop lease terms and conditions/mitigating measures; and
--Identify potential conflicts between oil and gas activities and the 
Alaska CMP.

    6. Existing Information: An extensive environmental, social, and 
economic Studies Program has been underway in the Alaska OCS Region 
since 1976, including studies in this area. The emphasis has been on 
environmental characterization of biologically sensitive habitats, 
endangered whales and marine mammals, physical oceanography, ocean-
circulation modeling, subsistence uses, and ecological and socio-
cultural effects of oil and gas activities. Environmental Impact 
Statements were prepared for each of the OCS sales held in the Cook 
Inlet Planning Area.
    Information on the MMS Environmental Studies Program, completed 
studies, and a program status report for continuing studies in this 
area are available on the MMS Web site http://www.mms.gov/alaska/, or 
may be obtained from the Chief, Environmental Studies Section, Alaska 
OCS Region, by telephone request at (907) 334-5230, or by written 
request to: Chief, Environmental Studies Section; ATTN: Cook Inlet RFI; 
Alaska OCS Region, Minerals Management Service; 3801 Centerpoint Drive, 
Suite 500; Anchorage, Alaska 99503-5823. A request may also be made via 
the Alaska OCS Region Web site to [email protected].
BILLING CODE 4310-MR-P

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[GRAPHIC] [TIFF OMITTED] TN08JY08.005


    Dated: June 13, 2008.
Randall B. Luthi,
Director, Minerals Management Service.
 [FR Doc. E8-15444 Filed 7-7-08; 8:45 am]
BILLING CODE 4310-MR-C